Blockchain Technology will be Used to Curb Fraudulent Billing and GST Evasion

To curb false billing and GST claims, the federal government is planning to deploy blockchain technology. The system will be utilized for storing and tracking goods movement in the initial phase. The government hopes to use the technology to uncover bogus claims as soon as possible, particularly in cases when a fake supply of products is filed on paper.

To digitize the GST process, the government is likely to adopt additional cutting-edge technologies. Currently, the government looks to be focusing on using blockchain technology to catch GST evaders.

For the uninitiated, blockchain is the same technology that ensures the security of bitcoin. Several other sectors are using blockchain technology into their processes to make them safer and more secure than ever before.

The agency should acquire correct information about the businessman filing the claims thanks to the implementation of blockchain technology. Fake invoices and claims from the Blockchain system are also flagged by the system.

The department is also expected to deploy blockchain technology to track GST credit movement. Businessmen’s working capital, on the other hand, will not be harmed by the technology.

Additionally, credit movement in different firms registered with the same Aadhaar would be checked using blockchain technology.